City Council Resolution 2010-43CITY OF MONTICELLO
WRIGHT COUNTY MINNESOTA
EDA RESOLUTION NO. 2010-43
APPROVING A LOAN AGREEMENT BETWEEN THE
CITY OF MONTICELLO ECONOMIC DEVELOPMENT
AUTHORITY AND HOGLUND BODY & EQUIPMENT INC.
AND OF THE PROMISSORY NOTE MADE BY HOGLUND
BODY & EQUIPMENT INC.
BE IT RESOLVED BY the Board of Commissioners ("Board") of the City of Monticello
Economic Development Authority, Monticello, Minnesota (the "Authority" or "Holder") as
follows:
Section 1. Recitals.
1.01. The Authority and Hoglund Body & Equipment Inc. (the "Borrower") desire to
enter into a loan agreement (the "Loan Agreement") for a GMEF Loan to be used for the acquisition
of certain equipment for a bus and truck body repair facility in the City of Monticello.
1.02. Pursuant to the Loan Agreement, the Authority will loan to the Borrower the sum of
$227,508 (the "Loan"), evidenced by a promissory note (the "Note") and a Security Agreement (the
"Security Agreement"), to be executed and delivered to the Authority by the Borrower.
1.03. The terms of the Loan Agreement and Note shall conform to the Amended GMEF
Guidelines approved by the Authority on March 23, 2009, including a term of the loan not to exceed
the useful life of the equipment purchased with loan proceeds, and a fixed interest rate not less than
3.0%.
Section 2. Loan Agreement and Note Authorized.
2.01. The Authority hereby authorizes and directs Authority staff and consultants to
negotiate and prepare the Loan Agreement and Note as provided herein, and authorizes
execution of the Loan Agreement and all documents prepared in connection therewith.
Approved this _ day of June, 2010, by the Board of Commissioners of the City of Monticello
Economic Development Authority.
Presiders
ATTEST:
x U* i ctor